According to data released Wednesday by the Statistical Federal Office, residential property prices in Germany increased by an average of 3.2 percent in the second quarter of 2025 compared to the same period the previous year.
This marks the third consecutive quarter of rising residential property prices, reversing a period of consistent decline that began in the fourth quarter of 2022. The rate of increase slowed from 3.5 percent year-on-year in the first quarter of 2025 and 1.9 percent in the fourth quarter of 2024. Prices for residential properties rose 1.1 percent compared to the first quarter of 2025.
Condominium prices were higher than in the corresponding period of the previous year across all regions of Germany. Prices for single-family and two-family homes also increased in most regions.
Within Germany’s seven largest cities – Berlin, Hamburg, Munich, Cologne, Frankfurt am Main, Stuttgart and Düsseldorf – condominium prices rose 2.4 percent year-on-year, a 0.3 percent increase compared to the previous quarter. Independent large cities outside of these top metropolitan areas saw a more substantial rise, with average condominium price increases of 5.0 percent year-on-year, a 1.3 percent increase from the previous quarter. In sparsely populated rural districts, buyers paid 3.6 percent more than in the second quarter of 2024, representing a 3.6 percent increase compared to the previous quarter.
Single-family and two-family homes also experienced price increases in the majority of regions. Sparsely populated rural districts experienced an average price increase of 2.8 percent year-on-year, representing a 1.3 percent increase over the previous quarter. Independent large cities outside the seven biggest cities saw a rise of 3.9 percent year-on-year, a 1.6 percent increase from the preceding quarter. Prices for single-family and two-family homes in Germany’s seven largest cities, however, slightly decreased by 0.2 percent compared to the second quarter of 2024, with a modest 0.2 percent increase over the previous quarter.
